Basic Concepts in Real Estate

What does Real Estate refer to?

• Only land without any structures

• Land and any permanent structures attached to it, including buildings and roads

• Movable property like vehicles and furniture

What is the primary purpose of a Real Estate Agent?

• To conduct property appraisals and inspections.

• To assist clients in buying, selling, or renting properties.

• To provide legal advice during property transactions.

Which of the following correctly matches Residential Real Estate with its description?

• Properties used for business purposes, like offices, malls, and hotels that generate income through leasing to businesses.

• Includes factories, warehouses, and distribution centers crucial for manufacturing and logistics operations.

• Properties designed for people to live in, including single-family homes, condos, townhouses, and multi-family units.

Which of the following correctly matches Commercial Real Estate with its description?

• Includes factories, warehouses, and distribution centers crucial for manufacturing and logistics operations.

• Properties used for business purposes, like offices, malls, and hotels that generate income through leasing to businesses.

• Raw, undeveloped land that can be used for agriculture, development, or conservation, often as a long-term investment.

What are the types of Residential Real Estate?

Answer explanation

Family Homes, Condominiums and Townhouses

What is an HOA, and in which types of residential property is it commonly found?

• Housing Occupancy Agreement

• Townhouse

• Homeowners Association

• Single/Multi -Family Homes

• Condominium

What are the Education, Authority, and/or Responsibilities of a Real Estate Agent?

• Pre-licensing courses (60-135 hours)

• Does not require courses

• Can Work Independently

• Requires broker supervision

• Can Supervise Others Agents

What are the Education, Authority, and/or Responsibilities of a Realtor?

• Can Work Independently

• Agent/Broker license + NAR membership

• Can Work Independently

  Only if also a broker

• Law degree (7+ years total education)

• Can Supervise Other Agents on his/her own

What are the Education, Authority, and/or Responsibilities of a Broker?

• Can Work Independently

• Can Supervise Other Agents

• Law degree (7+ years total education)

• Agent license + additional coursework (60-90 hours)

• Cannot Supervise Other Agents

Is a loan that a person takes out to buy real estate
Represents a significant long-term commitment.